Dogecoin is a virtual currency that has been growing steadily over the past year and has made a lot of talk about itself. Its value has risen from around $ 0.004 at the beginning of the year, reaching its peak in May 2021 of $ 0.70 per unit.
This significant price increase has certainly given early investors great joys, but the fateful question that every person who is preparing to trade crypto is asking is: “Will Dogecoin still have the same rise in the next five years?”.
Let’s analyze what are the predictions for the next 5 years of Dogecoin virtual currency to understand if it is worthwhile to invest now in Italian crypto trading and buy Dogecoin.
What is Dogecoin (DOGE)?
Dogecoin (DOGE) is an open source peer-to-peer cryptocurrency. It is considered an altcoin and an almost sarcastic meme coin. Launched in December 2013, Dogecoin has the image of a Shiba Inu dog as its logo.
Dogecoin is a decentralized currency that represents an accessible alternative to Bitcoin cryptocurrency thanks also to its recent bullish trend in values per unit. Furthermore, the very active community that revolves around this virtual currency, has allowed Dogecoin to obtain a decidedly important following.
Many famous people have come out in favor of this coin, the most famous being the billionaire Mark Cuban and the founder of Tesla and Space, Elon Musk.
The latter has also made himself available to collaborate with the Dogecoin developers in order to be able to implement updates to make transactions within the blockchain even faster and less expensive.
Thanks to these famous celebrities who believe in the value and use of Dogecoin, the growth potential of this virtual currency is very high.
Another strength of DOGE is intrinsic in its nature, namely it is an inflationary virtual currency. This term means that there is an incentive that aims to increase expenses in Dogecoin unlike what happens for the value of Bitcoin or other virtual currencies defined, instead, deflationary.
This purchase incentive is not active for the second type of virtual coins, as everyone expects their value to continue to increase over time due to their limited availability.
Dogecoin virtual currency can easily be compared to a fiat currency with the difference that it is part of a decentralized system.
Controlling inflation and depreciation is one of the important factors that can push major companies to introduce the use of Dogecoin in their daily payments starting next year, 2022.
What are Dogecoin’s predictions?
Analysts specializing in cryptocurrency value forecasts have predicted that Dogecoin will be worth between $ 0.96 and $ 1.2 for 2022. The majority also believe DOGE will hit the $ 1 milestone by the end of 2021. .
Dogecoin’s value is strongly tied to the more capitalized coin market, especially with the actions of buying Bitcoin.
By the time Bitcoin broke through the $ 20,000 mark, many altcoins, including Dogecoin, increased as a result, beating their caps.
Based on this correlation, now that the world of virtual currencies is gaining ground again, Dogecoin and the other virtual currencies have all the credentials for a new increase in unit prices and the possibility of exceeding their all-time highs again.
Another decisive event for DOGE’s price predictions is Doge-1. This is a SpaceX space mission that was fully funded thanks to Dogecoin and has the goal of arriving on the Moon.
The completion of Doge-1 is expected in the first three months of 2022, but it is very likely that its hype will begin to take effect as early as the end of 2021.
When the mission has materialized, the note of clamor that will be generated around the event could see the Dogecoin value increase to $ 1.5 or more.
Looking to the longer term, forecasts predict that Dogecoin will trade between $ 1.2 and $ 1.5 per coin in 2023.
Finally, in 2025, analysts predict that a DOGE will be worth around $ 0.0126, which is a strongly downward trend.